NEW YORK, March 13, 2018 (GLOBE NEWSWIRE) — Tom Mahala, former Global Head of Capital Introduction and Americas Hedge Fund Relationship Management at BNP Paribas, announced the recent launch of Layton Road Group, LLC (www.laytonroadgroup.com) (“Layton Road”). The firm will offer capital introduction and placement agent services to the alternative asset management community through Profor Securities LLC (“Profor Securities”), a member of FINRA and SIPC. Profor Securities is a 13-year old broker-dealer and placement agent.
Through its inaugural Outsourced Cap Intro for prime brokers service, Layton Road seeks to expand and enhance the current capital introduction approach traditionally offered directly, in-house by teams within investment banks’ prime brokerage groups. “The traditional approach to capital introduction is fraught with inefficiencies today – Layton Road aims to offer a better solution to the market,” said Mr. Mahala, a 26-year prime brokerage veteran and President of Layton Road.
Layton Road will offer a ‘plug-and-play’ capital introduction outsourcing solution for prime brokerages, facilitating the flow of capital between institutional investors and hedge funds. The Layton Road solution aims to help managers, investors and prime brokers. Key benefits of the Layton Road Outsourced Cap Intro solution include: 1) unparalleled service from six seasoned capital markets professionals with an average of nearly 20 years of diverse capital markets experience and 2) reduction in expense overhead for the prime broker 3) strict accountability to drive results. “We recognize that prime brokers are seeking ways to improve their ROE,” added Mr. Mahala. “Outsourcing capital introduction will aid that cause and can drive higher service levels and accountability.”
The firm will be an outlet for underserved alternative investment firms and/or those that are not currently clients of Wall Street’s prime brokers. These firms tend to generate an immaterial prime brokerage footprint, which, until now, has been a barrier to obtaining capital introduction support. The types of asset managers that fit into this category include Commodity Trading Advisors (CTAs), structured credit funds, low-levered and high-gross long/short equity funds. Layton Road will take a solutions-oriented approach while offering managers a choice of capital introduction or placement agent services, considering their stage of growth, existing marketing and IR resources and their operating budget. “A significant number of hedge funds are receiving inadequate or non-existent capital introduction support. Our innovative business model will change that.”
Through the Profor Securities broker-dealer, Layton Road will provide a robust menu of services to alternative asset managers seeking to raise capital, including brand and marketing guidance, peer reviews and customized, turn-key sales campaigns. The team will serve hedge funds, private equity and real estate firms.
The Layton Road Group’s veteran marketers and experienced sales professionals are well-positioned to advise and assist alternative asset managers from pre-launch phase to maturity. “The desire to raise capital is a common thread among the Street’s 15,000+ hedge funds,” added Mr. Mahala. “With our team’s expertise and legacy operating in the alternative asset space, Layton Road can provide the sales and marketing resources that firms need to meet their capital raising goals. Most importantly, our services will allow alternative managers to remain focused on what they do best – investing capital.”
“Tom’s 30+ years of experience and abundant industry relationships puts him in an ideal position to capitalize on the alternative asset management industry’s fragmented nature,” said Patrick O’Meara, Founder, Profor Securities. “There’s a growing need to partner with high-quality, connected influencers to assist in meeting their asset-raising goals, and Layton Road offers unparalleled breadth of coverage and insight.”
About Layton Road Group, LLC
Layton Road Group, LLC (“Layton Road”) was founded in 2017 with the belief that there was a better way to offer traditional capital introduction services to alternative investment managers, institutional investors and prime brokerage divisions within investment banks. The firm was founded by Tom Mahala, a 26-year industry veteran of the prime brokerage industry. Layton Road will provide a meaningful and impactful menu of capital introduction services ranging from capital introduction and placement agent services to targeted events and novel outsourced solutions for the prime brokerage industry. The firm is comprised of seasoned industry professionals situated in multiple geographies, with diverse capital markets, asset management and capital introduction backgrounds committed to thoughtful, consultative interactions with stakeholders across the alternative investment management industry. For more information about the firm and team, please visit www.laytonroadgroup.com
Dan Sheridan, Associate